and in the last rock star to have that job. if he decides to put his family through this you're looking at the top of the ticket. might be far-fetched but this -- we are talking about. stuart: you are going way over board. of the friday but america is ready for a citizen politician who is successful, accomplished, doesn't have this sort of -- traditional politics. the fact the american people thought that with obama four years ago. stuart: someone who is a doctor who seeks to heal versus lawyers who want to win by fighting. that is what got a lot of people upset. stuart: the man comes from completely outside the political realm, makes one speech in the presence of the president at national prayer breakfast and suddenly america at -- we are talking about him and -- [talking over each other] charles: we are desperate because we saw a bunch of people run for political office the highest land and for over each other. liz: no one has a monopoly on debate.

he is allowed to speak his mind which he did. stuart: for 25 minutes he had the president's attention. charles: my prediction tonight, the speech tonight will be a reenactment, modern update of the four freedom speech from fdr is what i am predicting. stuart: are you on the show tomorrow? charles: i don't know yet. in the one that is it. dagen mcdowell and connell mcshane. dagen: you heard that live. [talking over each other] dagen: charles -- stuart: that was good. we call you 6, this prediction. connell: i am connell mcshane. dagen: i am dagen mcdowell. what do investors want to hear tonight from president obama in his state of the union address? connell: cellphones and of using your tax dollars. hooking people up who did not qualify for this government program. dagen: did they bother to check? talking about the cell carriers and skip the charge cards, use

twitter, the new deal that will let you tweak your payments. connell: that sounds a little dangerous. we have neil cavuto talking about the state of the union. with nicole petallides at the stock exchange and stocks, good morning. nicole: we are taking a look at market, 13,999 and change and 14,000 on the dow jones industrials and certainly have a lot of winners to speak of which we will get to in a moment and the tech having nasdaq trying to squeeze out a gain here, the s&p sitting well above the 1500 mark. traders thought there would be a pullback, can't predict one of those because the trend remains to the upside and as we continue to have higher lows and higher highs, and at the same time nervous to go longer on this market because it is up so far so fast and talk about names that are helping the dow long, retail index, bank index, bank

of america, travelers, j. p. morgan, american express are a few of the names that are open and of plenty of green arrows on wall street. dagen: president obama steps of to give his purge the mistress state of the union address of the second term. connell: managing editor of fox business neil cavuto will lead our coverage tonight. i guess jobs and the economy. rear ranging the norplant is. jobs and the economy they tell us are involved obviously but what does that mean? spending more money? laundry list? stuart: 7 -- adam: the investing or marshaling funds, you could be plowed 15 minutes into this. spending will be a big part of it and he will spell out this is the role of a friendlier bigger government and no harm in that i guess, but there is a real harm

republicans argue saying the death battle has been won and done and reports the white house considers it is $1.5 trillion from completing whatever debt reduction deal is out there including $1.3 trillion in sequestered cuts. as they move that deadline so the battle has been won. that has raise a lot of concern. it hasn't even been waged war started. that could be a problem. dagen: we heard on that note because this is a growing chorus in the last few weeks, heard from investors and economists that if people start to think that congress and the lawmakers are not serious about tackling this than the market could move against the white house and democrats in the way of significantly higher interest rates if people believe we don't really care about our deficits and the debt. neil: on a republican and

democratic side, it is -- hit this appeared. if you say and long enough, it is not a problem. when you are adding $4 billion a day to the debt it is a problem. later today we will get the treasury releasing a statement about january revenue data into the government and a lot more courtesy of tax hikes, courtesy of the improving market and people will see is on that and don't have to do anything because is fine but as someone who has to lose 100 lbs. losing 10 pounds and say i can stop. [talking over each other] dagen: relief that people don't feel -- [talking over each other] dagen: pouring into all these nations overseas. neil: easy for you and difficult for me but i do think that is my biggest worry on the right and left that they have lost the zeal to do something and i do think regardless who you voted for it is fair to say one of the

consequences of this election was tight in taxes on the well to do, that was the beginning but giving up the fight on spending was not an that is a leap for the president to assume this battle has been won when we have an even -- connell: i'm starting a bunch of sentences with is just not paul krugman saying this. east of the people left of the president but it is a more, quote, mainstream argument. neil: they phrase it in a way to say the debt to gdp, overall growth compared to the amount of red ink we have, the forces of neptune compared to the forces of pluto, you can characterize it anyway you want, on pluto, the fact of the matter is it is not real and disguising it by saying in the scheme of things, 16 fully in dollars in red ink when you talk about a growing economy is not such a big deal,

$16 trillion, it is money we owe. it is the second-largest component of the budget. neil: we will talk about it. never has the opposition speaker had some much pressure put on him not only because he is speaking in english and spanish which is interesting, but because many argue he can put voice and reason to this debate without putting people to sleep. what it will mean is we have given up that fight and if republicans feel is not working. dagen: he also needs to lay out the case that if president obama is going to argue for more spending, stimulus spending still at 8% unemployment because we didn't spend enough money and he is going to reiterate the same things we heard for years now, infrastructure spending, education, energy, but he is going to need to lay out the

fact that this is not working and drive it home to the american people and take the far side -- neil: history suggests, his inaugural address suggests he won't but all trains turn. i will say there is an argument that now is not the time to cut. it was apparently the time to hike taxes but that is okay. a couple years i can understand we were in dire circumstances that was not the time to cut. when is the time to cut? if times are better, still not, when we are really booming you don't worry about cutting because whenever need we have to cut. i would like if you get a big raise at work or move to a new job of a sudden you are earning more money so that the dutch doesn't seem as worrisome because you have more money never mind you have your visa and mastercard credit line back up to the max, you feel you can handle it better because you have more money but no guarantee you always line doesn't make it visible to those credit lines. that is the reality check it is incumbent, president and marco

rubio or anyone to do so and that is where we failed. when we talk about it like there isn't spending problem, there's a very big problem when $1 trillion more is going out and is coming in. you can call it a ham sandwich but it is a very bad issue. unless we address it and soon we will pay dearly and fast. connell: thank you as always. neil: you don't mean it. connell: not really. [talking over each other] neil: watches bret baier. dagen: he would watch if he on. [talking over each other] connell: pretty good guess line. neil: good guests lined up? connell: who knows not a plan that. is a dwarf planet. bernard: 1 not a real anchor. [talking over each other] neil: i didn't want to be with you guys but that was day. neil: when in doubt call him:.

connell: have a great day. dagen: how could the president move markets in his speech tonight? the vice chairman at errol investments joins us from chicago. if he doesn't laugh have to cut back, how would the markets react? >> i don't think it will be a problem. there's not much optimism on this speech. people like washington to get ahold of this issue but that is not driving a market. dagen: when will they be forced to do something about it?

will not be a free ride forever. >> that is the problem and that is the way i described it. your children and your and my grandchildren are very good credit. they have the ability to pay back a lot of money. even though the debt is $16 trillion, we can probably handle that but it is going to hurt our grandchildren. it is like a kid who has a very rich father who runs a big credit-card bill. his father is good for it. there's no short-term indication the markets will prevent us from borrowing. dagen: what about the shift we are starting to see in a big way out of bondss and into stocks which we have been talking about for some years now because interest rates have gone so low or been so low for so long do you think that is sustainable? >> that is a very important point. people have been making money on bond accounts.

and his interest rates drop the value of the bond those ups of people have been able to exxon and to present for 3% on their bonds but that will start to change. interest rates will start to go up and people are already starting to take their money out of bonds and put them in stocks, not just individuals that begins to tuition like pension funds and endowment and insurance companies so we are starting to see the great rotation back in stocks and that will have a big impact. dagen: at one point they higher interest rates hurt stocks? at what level would you watch the ten year and then become cautious on the stock market? >> that is a great point. in the short-term is going to go slowly so we will go from 2% on the ten year to 3%, 4% over a couple of years and that kind of impact we don't think will be that bad for the stock market. we think people will move out of bonds into stocks that companies can handle that particularly because most companies have fixed their debt or have a relatively small amount of short-term floating-rate debt that is not going to go up that

much. we think it is not going to be a big problem for the stock market. dagen: agreed to see you as always. we will speak soon. connell: talking solar. solar power profit with charles payne coming up and charles is all about going global lately. he will take us on a trip to germany or somewhere like that with charles payne. dagen: tax dollars going to people not qualified to receive it. you pay a little bit every month on your cellphone bill, your phone bill to fund phones for lower-income americans. do millions of people should not have those phones? we will bring you more on that and look at the oil market and how the oil traded today, gasoline, highest of level it has been since october.

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dagen: making money with charles payne. he is going to help you make profits. charles: this is one of these obvious obama victory stocks that has done very well since then. we traded out of that and i looked and said if i put on the blinkers and blinders and didn't think of this being government sanction push on us and look at it as a company, trading with one time sale, the pegs ratio of zero.26, if it was any other stock venus that the measure earnings estimates in the last quarter by a huge margin and breaking out i would go with this. i would take away my own personal feelings about the policies and go with the stock and viewers have trouble separating. a lot of people refused to be in the market and won't be in the market. i do service in my web site all

the time. you are sitting there, your wife is 65 and we're going on at around the world tour, the best of the market because i didn't like obama's policies, at some point you say if this stock is going to tip of whether or like a not, i will get in on the action. dagen: you're going to sign it picking companies getting handouts from the government, and hold your stocks and every industry get some sort of hurt or handout. charles: this stock as a tremendous amount of room, short position. if this goes up 35, it takes up like a rocket. >> stocks now and every 15 minutes. >> talking about can cook. the c housetop is fairing.

it is down $6. it acknowledge you may remember and we talked about greenlight capital and suing them and pushing for proposed stock and returning cash and using that in a more usable way and tim cook acknowledged the whole thing, the stock was created and the lawsuit was bizarre and a side show. you see the stock is holding on at this level and trade as high as 480 today. dagen: the government cellphone program that was supposed to bring cellphones to lower income americans. it is costing major box. connell: another push for immigration reform and of the state of the union coming from the business community, entrepreneurship argument. we will talk about that.

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>> 20 minutes past the hour, your fox news minute. u.n. security council at this hour holding an emergency meeting expected to issue a strong condemnation to north corey after that country's third nuclear test. u.s. officials said the underground blasts, roughly twice as large as north korea's previous tests in 2009. president obama is calling north korea's nuclear action, quote, highly provocative. expected to vote on chuck hagel's nomination as defense secretary of a the former combat veteran facing opposition from fellow republicans for the past votes and statements on israel, iran, iraq and nuclear weapons. the international olympic committee announcing it will drop rustling from the 2020 olympics. wrestling has been an olympic event since the first modern games in athens in 1896.

elastic to these to be dropped for baseball and softball in 2005. that is look at the news headlines making news right now. connell: we have been talking about a big push for immigration reform a number of times on this show the last few days, state of the union tonight but some members of congress, business community as well making an argument for immigration reform based on economics and we talk about this, united nations foundation vice president of global partnerships, thanks for coming on. i want to start because the state of the union is tonight with the united states and talk about other countries that could serve as examples the do we good judge of encouraging entrepreneurs? >> we do. a big test is 20% of new jobs are coming from small business and entrepreneurs. not only are they helping build the economy but looking at how to contribute to the community not just with our money but our acumen and intellectual capital. connell: senator warner and

virginia and others in congress and a number of business leaders saying we need to get immigration reform done because we want to have incentives in place so that people overseas, europe, asia or wherever have ideas will come here, be educated and get a degree and stay and start companies. is there more we could do or are people just choosing to stay home because their economies of doing better? what do you see? >> at the united nations we see entrepreneurs are everywhere, in refugee camps, at fortune 500 companies. connell: there are countries that are better places to the entrepreneurs and others. >> we need to provide an environment that says we want you to do good business and create jobs but also going to support u.s. people in your own personal agendas to help your community and nation and someone. connell: what are you doing? >> united nations foundation made a commitment to entrepreneurs to help them stepped into not only their business but their philanthropy and using their technology and innovation to help solve global problems.

connell: where are you making the most progress? are there surprising results? people would say go to the united states go to silicon valley there are plenty of entrepreneurs but are there other places where it is surprisingly you are seeing strong growth in entrepreneurs? >> in the development space is interesting, not just charity anymore but i am going to create some innovations that might save lives. if you look at malaria deaths have been cut in half in 11 countries in the last five years that is the cause technology of the long-lasting, entrepreneur created. connell: not just people throwing money and helping out. >> we are buying and procuring and distributing them and the unique thing about the un is it is the only organization that can take innovation to scale. we distributed free fifty million, an invention madethree million, an invention made by one entrepreneur. connell: is that make people

less likely to come here? >> we are encouraging a strong economy builds growth and good health and builds everything. connell: nice to meet you, good luck with everything, thank you for coming in today. dagen: millions of them are not supposed to have them but they are getting them. i am talking about folks with cellphones paid for by you. how your good money is being wasted. what is the government doing about it to stop it? the trip that will not end. passengers on that stranded carnival ship had a long way to go to get home. we are talking about mobile, alabama. here are today's winners on the s&p 500.

is dagen: bad connection. how cellphone subsidies are being abused by million americans. tax reform. the president will talk about it tonight. eight youtube grade becomes a marketing tool. see the time for nicole petallides. nicole: we are seeing the stock at a new annual high.

this year, year to date it is up nearly 20%. the headlines surrounding barclays is because they posted a loss of $1.3 billion. more importantly, it is the new ceos plan going forward over the next three years. let's take a look at the major market averages. back to you. dagen: thank you. $2.4 billion. that is what you spent on phones for low income americans. look at the top five cell phone advisers under this initiative.

41% of the more than 6 million subscribers cannot demonstrate or did not demonstrate eligibility for this program. that is a waste. millions of people getting rebounds who should not have gotten them. why was this allowed to go on as long as it did? this review by the cell phone providers was only put in place by the fcc last year. >> i think they are responding from pressure that they have gotten from capitol hill and americans that are outraged that people are getting free cell phones. if it were up to me, this entire program would be gone. i have a bill hr 176.

it is to stop taxpayer funded cell phone acts. i will continue to push that. this is such a basic point. if we cannot deal with eliminating waste like this, how are we ever going to deal with the $16 trillion debt. dagen: yoo are essentially saying that the entire program the entire program in terms of subsidized cell phones should be done away with. why is that? >> i do not think the federal government ought to be in the business of buying people cell phones. if you took your point to the

next level, should the government be buying everyone computers? should the government be buying everyone all the latest technology so we are all wired? how about ipads? does the government needed by everyone and ipad? where does this end? this is ridiculous. dagen: we have found out the number of people that are probably not eligible for it. you are not satisfied with that, that that will weed out several people? >> that is certainly a step in the right direction. the broader point is more of a philosophical one. why is the government find people free cell phones in the first place?

that is the question. i understand it is great if people have them. it is great if people have ipads. it is great if people have desktop computers. it is not the government's responsibility. dagen: they may have taken advantage of them. >> they have a responsibility to follow the law. i think the government needs to do a better job when it starts a program like this of making sure it is run properly. if you are putting this in place because you think someone needs a line at home so they can get in touch with 911, let's give our phones not only call 911.

how many of those would you haae taken? that is a good question. dagen: congressman, it was good to hear from you. the reason these numbers are so stark, this journal looked at the top five recipients of this program and found 41% could not demonstrate the eligibility. the fcc just estimated 15% of users would be weeded out. there is a big gap. connell: thousands of passengers still stranded on the carnival cruise ship. they were originally going to take the passengers to mexico.

the current in the golf changed. they have been stuck there since sunday. use your imagination. bathrooms are not working. look at the carnival stock. that is just a disaster for those poor people. also, steep prices at the pump. there you go. national average for a gallon of regular is $3.60. that is a number we have not seen since back in october. it is not surprising. there you go. dagen: a business deal between american express and twitter gives you a new way to buy, shop and pay online. connell: youtube. a marketing tool. we have money and advertising. first --

[ laughter ] dagen: you love it. connell: i do not like cats. just below -- on the ten year. ♪ twins. i didn't see them coming. i have obligations. cute obligations, but obligations. i need to rethink the core of my portfolio. what i really need is sleep. introducing the ishares core, building blocks for the heart of your portfolio. find out why 9 out of 10 large professional investors choose ishares for their etfs. ishares by blackrock. call 1-800-ishares for a prospectus which includes investment objectives, risks, charges and expenses. read and consider it carefully before investing. risk includes possible loss of principal.

>> i am worried about men with your fox business brief.

i am lori rothman with your fox business brief. >> we are disciplined and thoughtful and we do not feel any pressure to go out and acquire revenue. we want to maintain great product. that is what we are about. if a large company could help us do that even better, that would be of interest. >> we will keep our eyes open for apple, that is for sure. the organization says a majority of growth will come from china. that is the latest from the fox business network. giving you the power to prosper. ♪

dagen: you can use it to express your feelings and knowledge you can use it to shop online. paid by tweet allowing

cardholders to buy discounted products by using hash tags. they will send a confirmation tweet before processing the transaction. amazon kindle fire, sony action cam and xbox 360. connell: we are talking about tax reform. if we want some guidance, we should look at the states. scott hodge is joining us now. which state should he be looking at as an example or guide? >> the first place to look is louisiana where governor bobby jindal is about to introduce a very bold plan. we are also looking at nebraska where the governor there.

connell: we have done the story a couple times, at least broadly. we will see a test of conservative versus liberal technologies over the next couple years. they have to balance their budgets. income taxes -- we will see which, essentially, we will see which tax hikes. >> while you are cutting rates on one hand, you are increasing on the other hand so the government comes out even.

minnesota where the governor is proposing a $3 million income tax, it would go up almost to 10%. we are also seeing a proposed income tax there. those are straight up tax increases in order to balance the budget. connell: apples to apples, all because of the state requirements. >> when we are looking at the federal level, any people want to do tax reform in a revenue neutral way. you want to provide the government the same amount of money, but it does in a reform faces. that will boost economic growth and lead to more tax revenues in the future. connell: how do they improve it?

>> they have done a very poor job. they are committed to riding a tax reform plan here in the summer. connell: marco rubio may talk about it tonight. thanks a lot. dagen: stocks now and every 15 minutes. apple continues to take a hit. nicole: tim cook has been speaking at a conference. we continue to see it selling off the day after. they are working on a watch. talk about new products. we continue to talk about david einhorn and greenlight capital. they really are not using their cash in a way that is beneficial to the shareholders.

tim cook is trying to wave off the claims that apple is clinging to a depression era mentality. he is considering the idea of preferred stocks. they do plan on using their cash very actively. something that certainly has grabbed some headlines. dagen: thank you. connell: keep an eye on apple. only a month into its ownership. dagen: diane macedo joins us. >> several adweek executives are out now. you have vice president circulation and senior vp.

as you mentioned, this is all under the new parent company. we reached out to this, but they will not comment just yet. there is an ipo that i know you want to mention. connell: i do not like cats. >> add china works over in china. they filed for an ipo over a year ago. great year. they filed for an ipo. here we are a year later. they withdrew the plans for the initial public offering. have not heard much from the company in terms of revisiting these plans in the future. >> connell watches pat videos.

i caught him. >> this is a very popular thing. we love to kill time watching cats videos. they are using youtube cat videos to try to promote the liturgy need. it rafted up the plastic and keeps your house from stinking. they have some bling out kiddies and backup dancers. they are hoping to entice even cat haters like you, connell. [talking over each other] dagen: cat urine is the bigger

problem. >> that is why you need this. dagen: i picked her up and -- connell: are we already in commercial break? thank you, diane. pope benedict xvi is a big fan of cats. >> you will have a lot of time to watch cat videos now. [ laughter ] dagen: we will be talking about why these puppies better be clean when they take the spotlight at west minister. they want to get a juiced up botox dog. dagen: that is what you will see coming up. take a look at some winners on the nasdaq. ♪ all stations come over to mission a for a final go.

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dagen: corn being its longest losing streak in almost three years. connell: here is sandra smith. sandra: we have started to enter into new territory when it comes to corn. it is a very key level for a lot of businesses to look at.

the farmers will be watching those very closely. we are now seeing corn dropping for the eighth straight day in a row now. they are calling for a record corn crop. down another% today. one of the biggest ethanol producers in the world. this would increase their ethanol margins. look at the job that adm is getting today. where it will hurt the stock market is any -- fertilizer producers cook it cuts.

connell: thank you, sandra. dagen: the west minister talk show taking place right now in new york city. over 2700 entries this year. one thing that this show will not tolerate is performance enhanced dogs. that means you cannot tattoo a dogs nose to make it blacker, no braces to straighten a dogs teeth, no surgery to enhance the purchase performance. last year's winner was a pekinese. connell: we are really on a roll today. some of the stuff they do to groom them are crazy. i heard that dennis and cheryl are doing their show from the bronx zoo.

just kidding. stay tuned for cheryl casone and dennis kneale. dagen: valentines day is this week. have you bought a gift yet? that and so much more coming up. ♪ [ male announcer ] how can power conmption in china, impact wool exports from new zealand, textile production in spain, and e use of medical technology in the u.s.? at t. rowe price, we understand the connections of a complex, global economy. it's just one reason over 75% of our mutual funds beat their 10-year lipper average. twe price. invest with confidence. request a prpectus or summary prospectus with investment information, risks,ees and expenses to read and consider carefully before investing.

with investment information, risks,ees and expenses we asked total strangers to watch it for us. thank you so much. i appreciate it. i'll be right back. they didn't take a dime.

how much in fees does your bank take to watch your money? if your bank takes more money than a stranger, you need an ly. ally bank. your money needs an ally. dennis: we are coming up on noon. i am dennis kneale. cheryl: hello. i am cheryl casone. wall street is waiting to hear what president obama has to say in tonight's speech. apple shares are thinking. ceo tim cook calls the lawsuit a

sideshow. top of the hour. it is time for stocks now. let's bring you what some are saying tim cook is saying. >> in terms of large acquisitions, we have looked at large companies. it did not pass our test. cheryl: it was the comments that cook made about david einhorn that is hitting the stock right now. nicole petallides is at the floor of the new york stock exchange. nicole: we sell apple about the $480 mark today. he will stand by the fact he is working on releasing shareholder value. david einhorn wanted to unleash

that. he obviously was moving forward. basically, tim cook basically said all of this is a sideshow. the whole lawsuit was bizarre. in the meantime, tim cook and apple continues to focus on new products such as the watch. cheryl: president obama said to give his state of the union address tonight. many in washington are saying his message is dead on arrival in congress. dennis: we have team coverage. we begin with peter at the white house. peter: it may be done on a rival with republicans. he will talk about the progress

made in the economic recovery since 2009. the economy has further to go to create more jobs. he will be looking for a big deal with republicans that he says can help fix the economy. he will be talking about climate change, reducing carbon emissions and those are things he would most likely do by executive order. take a listen. >> the president will do whatever is best for delivering results. a lot of the big things we need to do as a country can really only happen if we have bipartisan cooperation. >> let's go to my colleague rich

edson. rich: the president lacks the guts to stand up to his party on spending. he is running the country into the sewer. the next fight in d.c., automatic spending cuts. some republicans are prepared to let the cuts begin. >> we do not believe that across-the-board spending cuts are a wise way to control spending in this town. rich: back to you. dennis: thank you very much. our next guest has counseled many high-profile famous names including bill clinton and martha stuart. joining us now is former special

counsee to president clinton. it sounds like you feel that president obama has been following from behind. it did not lead on simpson pulls own debt reduction. a democrat from illinois and a republican conservative from oklahoma supported a $4 trillion balanced approach which the republicans have rejected. dennis: tell us what you think as dead as a moral issue.

>> i really felt this way. i have two younger children and a second generation of children. don't all the receipts on my children's laugh and said you pay for my trip, that would be a moral. that is what our generation is doing. barack obama is a one-person all-americans vote for or against. he is the only president we have. he should say tonight this is a great moral issue of our time. dennis: if you were advising president obama, he cannot possibly -- we had $10 trillion. >> i think you would share the

guilt of all of us. they used to call on all politicians. still my inspiration. both parties are guilty. george bush took a trillion dollar surplus left to have by bill clinton and he is my friend from college, but i say this, he left us with red ink and then barack obama increased it. dennis: the most fiscally the most irresponsible president of all time. thank you. >> thank you. cheryl: all right. dennis: he is good. cheryl: small businesses are hoping that the president

addresses some of their problems. anticipating better business conditions in the next six months despite higher taxes. president of little greek restaurant. how are you? >> hey, cheryl. cheryl: i am curious what you want to hear from the president tonight. >> i would say as i look at my fellow restaurant out there, we see a very weak recovery. we are not seeing the real pro-business, pro- growth strategies. there is also a lot of tension out there. small businesses are the lifeblood of this country.

we are not really feeling that right now. cheryl: what about healthcare concerns? obamacare. the rush on this is we have 13 million employees. we employ 10% of the population. our profit per employee is -- we are trying to figure out what is in there and how much it will cost and how we are going to do it. it has become quiteea big battle. all of my partners in the restaurant industry, i have folks that are looking to open another restaurant and they were going to put them over the 50 employees limit so they are not going to do it. cheryl: they are not going to hire. >> exactly. we have to watch our margin.

they may take employees and put them below 30 hours. we the people working in not making as much money as possible. cheryl: very tax friendly and business friendly state. >> we feel that we go to states that is a good business friendly environment. it is just a very different operating environment out there. it allows us to get the stores open more quickly and efficiently. cheryl: i am curious about demand. we think things are picking up. are you seeing better business?

>> well, i think when i talk to my fellow ceos and presidents, we are seeing trends that are positive. i guess it is less worse. when i met with some of the industry economist, they are projecting a very flat year. they are worried that if some outside shot comes in, this economy could leg very quickly. this is a mixed bag deal. it is a very dicey deal. cheryl: i may steal that. thank you. appreciate it. good to have you on the show again. dennis: gasoline prices spiking to new highs for the day. we have a way you may profit on the pain.

cheryl: ethanol producers out of business. as we go to break, take a look at oil. ♪ ( man ) legs up ! ( man ) legs up ?

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dennis: 15 minutes past the hour. stocks now and every 15 minutes. cheryl: he is watching corn go higher and higher. charles payne shows us how to make money on tesla. nicole petallides on the floor of the and why is the.

we cannot push through on a meaningful basis. nicole: that is true. most of the traders continue to fail we will break those all-time highs. i thought maybe you were saying 14,000. we are sitting right now of about 35 points. that is a gain of eight quarter of 1%. oil services are doing well. bank stocks are doing very well today. barclays would be another name. you are seeing some nice moves there. the vix, the fear index is taking a breather. oil and gold hovering around the same picture. the trend remains to the upside.

back to you. >> corn has been up. it has been. today and yesterday, corn down. now below seven dollars a bushel. that is a key area of support for corn. today we are crashing through it. take a look at what high corn prices have done to ethanol producers. we have 20 ethanol plants that are shut down. more ethanol plants cannot survive with corn prices at the level they are at right now.

high oil prices already a factor for those oil companies. oil prices up 6% so far this year. sandra: take a look at what that is doing for the consumer filling up their tank at the gas pump. hitting $3.60 for a regular gallon of gasoline. that is compared to $3.30 just one month ago. you want to look also at the stock market. right now the rise we have seen in oil and gas prices is working in favor of the big oil companies. we have seen them come down considerably. exxon mobil up just a fraction today. cheryl: time to make money with

charles payne. he is following up with tesla motors. charles: i wonder if they name it after the investor. they are always wearing for a fight. they got one with the "new york times." the car did not get the range that they thought it would. this guy is not ashamed. he treated one thing about the "new york times" article. they did not charge nothing up. it is bogus. i think he has a legitimate claim here. it is under pressure today. if it survives this latest attack, this could go up one

higher. dennis: it would send out price popping. it is up 30-40% from october. charles: to your point, if i am not in the stock right now, on a dip, i would consider. cheryl: tesla motors and charles payne. dennis: all right. we have a guy who says there is a way to make money off resignation. cheryl: and luxury stock play. we have an analyst coming up and, yes, we are talking about the diamond market. we will be right back. ♪

>> at 23 minutes past the hour, i have your fox news and it. ending and emergency meeting and condemning north korea's nuclear test. president obama calling the test highly provocative.

north korea's previous test back in 2009 was larger. there is a disabled carnival cruise ship floating in the gulf of mexico. there was an engine fire on sunday. tugboats will tow the ship to mobile, alabama. a committee is expected to vote on chuck hagel's nomination to become defense secretary. he is facing opposition from republicans. that is a quick look at some of your headlines making news this hour. cheryl: countdown to valentines day. online jeweler blue nile reporting numbers today. what kind of numbers can we

expect? down 26%. what is happening? i think investors had a very strong growth outlook. with the growth slowing growth investors have pulled out of the stock. now it is actually a little more fairly valued. cheryl: let's talk about the new ceo harvey cantor. if you look at blue nile, that is a little risky for many people. they did have an earnings problem the year before. they are doing some new

products. the only thing people have to remember is blue nile actually benefits when prices are down. they were down all last year. i think that their value actually fits with the consumer mood right now. big news from tiffany when same-store sales came out. you have this fourth quarter guidance now. >> there is a strange dynamic and jewelry, especially diamonds. when those prices are up, it seems like the jewels sparkle a little more in the showroom window. the expensive rings look

relatively cheaper to the consumer. now we are in a value play. blue nile customers are looking for deals, essentially. cheryl: that is interesting. there are two more names, socks and macy's. neiman marcus has jewelry sales down 29% in 2009. the department stores, is that a better player in jewelry moving forward? >> department stores, in my view, are more a fashion plate for jewelry. i do not see them as a destination to get statement jewelry. it is a different niche. for their diamond jewelry, it is much more engagement driven.

blue nile is trying to branch out to fashion. cheryl: if you want to buy an engagement ring, maybe online shopping not the way to go. good point. paul, thanks. >> thank you. dennis: voting against mutual shares against the dell bios offer. apple shares down almost 5%. cheryl: we are talking about this with local. hitting that 14,000 level. one of our favorite heirs says there is an upside here. ♪

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call the number on your screen now! nicole: hi, i'm nicole petallides at the new york stock exchange. i want to show you how we are right now, 3758. one of the reasons why we are seeing coke selloff in this session is earnings per share beat the street, it is the revenue that came in a little bit light. look at what they did in europe, that was part of the disappointment as to why we saw the latest numbers for the dow component. a global company that will continue to follow. the major averages, dow 14,000 right now at 14,009. some of the things that we continue to follow, take a look at retail drawing a lot of green. gold is coming back a little bit.

bank stocks, drug stocks and a lot of green on a day with a perilous and hello again to dow 14,000. dennis: thank you, nicole. kathy boyle usually sees the dark side of stocks. a bear often she comes on to surprise us to say there is a good reason to be positive on stocks. explain. >> the moment i'm is there. elusive momentum is there and they will take it up a little bit higher. dennis: i thought the fourth quarter shrinking would have rocked back some kind of talks with the market looked right past it. what is that showing us? >> right and a lot of individual investors cannot take the pain anymore, just have to get on this ride and get in. the money move to equities in

january, more money than the entire year of 2012. dennis: and yet it is not that big of a move, actually. showing some optimism going on. >> individual investor with smart money, and some money index indicators. the smart money is cautious. retail money tend to be late, they getting at the top and they are very bullish. dennis: still, don't have much individual investors in the market. the majority of the money is institutions. when the fear of what could go wrong is less than the fear of missing out a there is some kind of psychological. what can go wrong? >> the word has evaporated in the last quarter, they just kicked the can down the road.

some major systemic problems, insider trading like crazy. 40% with eric schmidt. dennis: overall, thing about being bearish, you never get in trouble with your clients are not losing money, it's only safe to be bearish but lately the market is here to make us all wrong. dennis: thanks a lot. cheryl: we will see you in six months. new information behind the decision by the pope to step down and we will tell you how some investors are making a bet in the market on it. dennis: believe it or not, it is big news for stocks.

cheryl: a look at the 10-year treasury. we will be right back.

tracy: this is tracy byrnes with their fox business brief. the conference in san francisco

today, apple ceo tim cook spoke about the importance of apple stores. >> welcomed 120 million people in our stores and we have a little over 400, that is almost 10 million people per week. tracy: more than $15 billion takeover by china state owned c-note hate the green light, approval by the committee on foreign investment in the u.s. market marked the final hurdle in the largest foreign takeover. expect a deal to close at february 25. that is latest from the fox business network giving you the power to prosper. investor. but that doesn't mean i don't want to make money. i love making money. i try to be smart with my investments. i also try tkeep my costs down. what's your plan? ishares. low cost and tax efficient. find out why nine out of ten large professional investors

choose ishares for their etfs. ishares by blackrock. call 1-800-ishar for a prospectus which includes investment objectives, risks, charges and expenses. read and consider it carefully before investing. risk includes possible loss of principal. cheryl: pope benedict xvi surprise resignation setting the stage for a succession battle. amy kellogg is in rome with the latest developments.

amy: those who are contenders to be the next pope, a cardinal from ghana says he thinks it would be time for a pope to come from asia or africa. he said the younger churches have become mature enough to offer a pope and it would be a good thing because frankly between a half and two-thirds of the catholic are of the southern churches. in the meantime for the first time we're hearing there could be an american pope although most people think it is not terribly likely. a lot of experts say probably the vatican does not want a pope from the world's remaining superpower. the process of choosing the pope will begin around the middle of march when the conclave will

happen. it was received by vatican officials that pope benedict xvi is have a pacemaker for many years and the batteries changed just three months ago, but that is not the reason for his resignation and that this whole situation has not impacted his work especially at the time with the adjustment made to the pacemaker. today caught up with what they had to say, what their impressions were and their reaction to this news including a young belgian man who wants to be a priest one day, here's what he had to say. >> i really hope it is not european to make clear the church is more than just rome, it is something worldwide. it is not only european or rome for italian, it is the whole world. amy: cheryl, these young people were saying to us today it is

not so much about a pope being on twitter or facebook, it is about being able to appeal to young people in a broader sense, having cooked medication skills being able to point out why the pope is relevant to their lives. we hope the bottom line is theye will be a new pope in time to read easter mass. cheryl: dennis has more on the pope. dennis: a money angle, believe it or not. could the pope's resignation actually boost some aspects? many investors are looking to italy for an upside. says depending on who is chosen as the next pope to my positive move could offset any negatives in the national elections later this month. so it could be time to buy italy. was it illegal to do a couple of weeks ago? index up 1.2% in an up market today. cheryl: treasury secretary jack lu will meet before each firing

squad. >> normally you don't talk about kevin and people. it is not done often, almost never in the senate, but this is a big deal. cheryl: joining alcoa former treasury department advisor, senior fellow, what do you make of his comments? do you think this would be the fight he's promising? >> you have to remember any part of the confirmation hearing is political theater. i would put what senator sessions is saying a little in that camp, they won't get rolled on this and they are not push overs but at the end of the day all these issues they are racing on jack lew have been raised before. at the end of the day none of this is going to disqualify him.

cheryl: he was the point man during the budget crisis, obviously far for the g.o.p. to bring up, could they make it about themselves and not about jack luke westmark >> absolutely. not 12 hours after the state of the union address, so all the plans laid out in the state of the union will be fair game for the senators and because so much of it, they only get five minutes apiece to ask questions and for jack lew to answer them, they're going to want to get on the record saying this is how i felt about what he said last night and try to extract some commitment down the road. cheryl: i'm sure it will come up, but what is going to be interesting is they will really hammer him at least tim geithner had that in a sense, do you think tim geithner had a better resume going into treasury

secretary resident jack lew at the time? speak o>> the fascinating thinge is that he had a pretty administrative rule, he wasn't in investments, no client advisory work for one hand everybody saying he is too much of a banker, too close to wall street and on the other hand he is not enough of a banker, not enough to wall street to my view is generally if you're getting hit by both sides you're about in the right place. cheryl: tim geithner's response with the banks have helped them. thank you very much. denis. dennis: 15 minutes until the hour. nicole petallides live from the new york stock exchange. the dow at a session high. nicole: taking a look, 14,016, certainly back above the 14,000

mark, one third of 1% testing some of our recent highs. look at some of the names that have been moving. look at apple, ceo tim cook was speaking at the goldman sachs conference. he says how it is bizarre, the whole thing was a little unstained. they do use it on a lot of cash, barclays announcing layoffs of 8.5%, avon products are cutting costs by seeing demand in sales and avon up 20%. michael cores up 10.5%, they have seen increased demand and handbags increasingly popular. they will have 10 new beverages in the coffee realm with a lot on the margins. looking at some iced coffee.

dennis: is swimsuit time. "sports illustrated" issue of flesh and bikinis is out today. david letterman had the cover girl last night, kate upton. how they were able to scoop leatherman and post the cover on sunday. good luck for stocks. says u.s. stocks fare far better when an american graces the cover. average annual return of almost 15% compared with just 11% or so when a foreigner is out front. meanwhile, microsoft xbox isn't just for games anymore. the big cable network, xbox's and 76 million homes worldwide, half of them went up on the xbox live network.

3 million answers to poll questions posted, next up, interactive coverage of the red carpet stargazing at the oscars later this month. cheryl: cannot wait. one of the most charitable americans last year, find out how much facebook's mark zuckerberg donated. dennis: and a valentine's day contest, only this one is for couples who want to get unhitched. ahead. cheryl: some of the winners on the nasdaq. we will be right back.

cheryl: time for your "west coast minute." offshore oil rigs are headed to asia to repair. one ran aground after escaping: 3 other has been under scrutiny for regular prayer problems. that could halt drilling plans for the company could show has spent 4.5 early in dollars in that area. facebook ceo mark zuckerberg were among the most charitable americans of 2012. the couple donated 500 million in facebook stock last year to the silicon valley donation. the largest donation he has ever made. television commercial actors in

los angeles facing a tough new reality show. negotiations said to begin over a new contract with ad agencies. the "l.a. times" says middle-class actors are having a tough time making ends meet with income down substantially. it is tough to do when you're living in l.a. dennis: a lot of times they don't even film in california because it is so expensive. their income is down in part because there is far less shooting. hollywood isn't hollywood anymore. cheryl: mayor bloomberg, there are lots of movie trucks here recently. dennis: the detroit area lawyer going to the dark side giving one lucky couple something they really want this valentine's day. a divorce, free of charge. the attorney staging a contest at picking a winner based on the most compelling story. the divorce must be uncontested

with little or no child custody issues and also must be a michigan resident. more than 500 people have already applied. i just wonder if their spouse knows. cheryl: can't you just get divorced on the internet now? can't you just apply on the web? dennis: i don't think so. cheryl: no valentine's day plans for dennis kneale this year. don't forget to join neil cavuto and all of his guests tonight for network television best coverage of the state of the union. dennis: my valentine's day date is my daughter, by the way. and then call will have the tea party response. we will have more on the big noon eastern show. the markets are climbing, the dow back above 14,000. outlook from business investors

missing warning signs? cheryl: plus, lou dobb lou dobbl join melissa and lori what you should be looking for in tonight's state of the union address. some sort of gam gameplay, i am sure. lou dobbs in the next hour. [ indistinct shouting ] ♪ [ indistinct shouting ] [ male announcer ] time and sales data. split-second stats. [ indistinct shouting ] ♪ it's so close to the options floor... [ indistinct shouting, bell dinging ] ...you'll bust ur brain box. ♪ all onhinkorswim from td ameritrade. ♪

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